| Question And Answer | |
|---|---|
| Subject: | Taxes on selling part of redeveloped residential property |
| Category: | Income-Tax |
| Querist: | Anant Mujumdar |
| Answered by: | Law Intern |
| Tags: | Capital Gains, redevelopment |
| Date: | April 6, 2026 |
Residential Property transferred to legal heirs on 07/02/2019. It was given for redevelopment on 25/11/2022. No financial consideration/monetary benefit since it is redevelopment. Occupation certificate received on 05/08/2025. 4.77% Part of the property (Carpet area) sold in March 2026.What is the Tax applicable for AY 2026-2027 for ITR 2 form.
The gains will be assessed as STCG because the redeveloped portion is held for less than 24 months. Its holding period starts from the date of OC or possession (05/08/2025) and not from the inheritance date (07/02/2019) or redevelopment agreement (25/11/2022).
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